Stock market today: 54 stocks hit 52-week lows, 52 stocks at 52-week highs as Indian stock market rebounds

Stock market today: On Tuesday, 54 stocks hit their 52-week lows, which included Jai Corp, Orchid Pharma, Adroit Infotech, Modern Thread India, TCC Concept, Vishal Bearings, and Welspun Specialty Solutions.

In contrast, 52 stocks touched 52-week highs, with notable mentions InterGlobe Aviation (IndiGo), India Shelter Finance Corporation, Mangalore Chemicals & Fertilizers, and NACL Industries.

On Tuesday's session, the Indian stock market experienced a strong recovery, with the Sensex rising more than 1,000 points to finish at 74,227, while the Nifty 50 closed above 22,500. This bounce back was fueled by various factors, including encouraging global indicators as Asian markets demonstrated strength and a reduction in trade war concerns, leading investors to feel that the US-China trade disputes might not have a major impact on other leading economies.

Vaibhav Vidwani, a Research Analyst at Bonanza, noted that the optimism surrounding a possible RBI rate cut to tackle liquidity issues contributed to the market's upward movement. The India VIX, which reflects market fear, fell notably, signifying lower investor apprehension. Market sentiments remain cautiously positive as investors look for more information on global trade issues and the RBI's policy direction.

Despite persistent uncertainty, India's stable macroeconomic fundamentals and reasonable valuations in large-cap stocks are anticipated to bolster the market in the long run.

In summary, the market's resilience in recovering from substantial losses indicates a strong underlying sentiment, although investors are expected to remain in a wait-and-see approach until further clarity about global trade tensions is achieved.

Nifty 50 Outlook

According to Shrikant Chouhan, Head equity Research, Kotak Securities, the benchmark indices bounced back sharply, with the Nifty 50 ends 374 points higher and the Sensex up by 1089 points. Among the sectors, all major sectoral indices traded in positive territory, but the Media Index gained the most, rallying over 5 percent.

Technically, after a strong open market continued positive momentum throughout the day. Promising reversal formation and higher bottom formation on intraday charts suggesting pullback formation is likely to continue in the near future.

"For day traders now, 22,330/73,500 would be a key level to watch; above this level, a pullback wave could move up to 22,700/75,000, with further upside potentially lifting the index to 22,800/75,200.

Conversely, a dismissal of 22,330/73,500 could accelerate selling pressure. If this level is breached, the market could retest 22,110-22,000/73,000-72,800. The current market texture is extremely volatile and uncertain; thus, a level-based trading strategy would be ideal for day traders," said Chouhan.

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